Criticism of China free trade deal is 'bullshit' - Goff

Winston Peters and Michael Cullen in Parliament today as the China trade deal row widens.

Trade Negotiations Minister Phil Goff has confirmed he said criticism of the free trade deal with China was "bullshit" - but claims he was not referring to Winston Peters.

Mr Peters and New Zealand First oppose the trade deal with China, with the Foreign Minister saying the deal did not offer enough concessions to New Zealand businesses.

Mr Goff yesterday met New Zealand business representatives and expats who were in China for the signing of the agreement.

The business people were furious that Peters had bagged the deal, with one urging the National Party to help Labour dump him as Foreign Minister.

He said the trade deal was good for New Zealand, and described criticism to the contrary as "bullshit".

Reports of the comments in the New Zealand Herald today have sparked rows in Parliament and questions over whether Mr Peters can oppose the deal and remain Foreign Minister.

Mr Goff later told the Herald his comments were generic and not directed at Mr Peters personally.

"It is quite in order for Winston Peters as the leader of NZ First and a supply and confidence partner to differentiate his position."

Deputy Prime Minister Michael Cullen was forced to enter the debate this afternoon under questioning in Parliament from Act leader Rodney Hide.

He told MPs: "I am assured by Mr Goff's office that he made no such comment in relation to Mr Peter's position."

Mr Peters told nzherald.co.nz that Mr Goff's office had contacted him to say the minister had never used the word "bullshit". He said he was seeking a full apology from the Herald.

Speaking in Parliament, Mr Peters repeated his understanding that Mr Goff's office said he never used the word.

However, Mr Goff's office had confirmed to the Herald that he had said "bullshit" but said it was used only in general terms in relation to criticism of the free trade deal.

At 6.10pm today, 66 per cent of 1900 respondents to a nzherald.co.nz poll thought Mr Peters could not remain foreign minister while criticising the trade deal.

Former Prime Minister Mike Moore today also stepped into the row, saying New Zealand's system of governance was "moving from farce to tragedy".